Royal Mail Franking Discounts: How Much You Save In 2026

Royal Mail charges less for franked mail than for stamped mail. That's been true for as long as franking machines have existed. What's changed is how big the discount is, and on which items. If you're working out whether franking still pays, you need today's numbers, not the ones on a supplier's brochure from five years ago.

All prices below are Royal Mail's own, valid from 7 April 2026: stamp prices from Royal Mail's UK stamp price list, franked prices from its Business Price Guide (both checked October 2026). Standard 1st and 2nd Class prices are exempt from VAT.

Franked vs stamp prices at a glance

Item	Stamp	Mailmark franked	Saving	Saving %
1st Class letter up to 100g	£1.80	£1.77	3p	1.7%
2nd Class letter up to 100g	91p	88p	3p	3.3%
1st Class large letter up to 100g	£3.30	£2.86	44p	13.3%
1st Class large letter 101g to 250g	£3.60	£3.28	32p	8.9%
1st Class large letter 251g to 500g	£3.60	£3.30	30p	8.3%
1st Class large letter 501g to 750g	£3.60	£3.30	30p	8.3%
2nd Class large letter up to 100g	£1.55	£1.52	3p	1.9%
2nd Class large letter 101g to 250g	£1.90	£1.81	9p	4.7%
2nd Class large letter 251g to 500g	£2.40	£2.30	10p	4.2%
2nd Class large letter 501g to 750g	£2.70	£2.50	20p	7.4%

1st and 2nd Class letters

Standard letters are where most businesses send the bulk of their post, and they're where the franking discount is smallest. You save 3p on each 1st Class letter and 3p on each 2nd Class letter.

In practice, that means the discount alone rarely justifies a machine for a business that only sends standard letters. You'd need around 1,000 letters a month to save £30.

Large letters

This is where franking really pays. A 1st Class large letter under 100g, which covers most A4 documents in a C4 envelope, is 44p cheaper franked. Heavier 1st Class large letters save 30p to 32p.

2nd Class large letters are more modest: 3p at the lightest band, rising to 20p at the heaviest.

If your business sends contracts, reports, brochures or thin products, large letters are probably a big part of your post, and the discount adds up quickly.

Bulk mail and Mailmark

Franking discounts apply only to mail franked by a Mailmark machine. Royal Mail decertified standard franking machines, and since 1 January 2023 franked mail without a Mailmark barcode is returned to the sender (Royal Mail Business Price Guide, checked October 2026).

For very large mailings, Royal Mail and other operators offer bulk and business mail services with their own pricing, usually requiring minimum volumes and presorting. Royal Mail's Business Price Guide sets out franking rules for Business Mail Advanced items posted through franking machines too. If you send thousands of identical items, it's worth asking your supplier whether a bulk service would beat ordinary franking. Our guide to cheaper bulk postage covers this.

Annual saving examples

Let's put the discount into yearly figures, assuming 250 posting days a year.

A small office sending 20 1st Class letters a day 20 x 250 x 3p = £150 a year.

An estate agent sending 20 1st Class large letters (under 100g) a day 20 x 250 x 44p = £2,200 a year.

An online seller sending 40 2nd Class large letters (101g to 250g) a day 40 x 250 x 9p = £900 a year.

A solicitors' office sending 30 standard letters and 15 1st Class large letters a day (30 x 3p + 15 x 44p) x 250 = (90p + £6.60) x 250 = £1,875 a year.

Take your machine's lease, ink and any software fee off those numbers to see your real saving. Our savings calculator does it for you.

How the gap has changed

Stamp prices have risen fast. A 1st Class stamp was 85p in January 2021 and reached £1.80 in April 2026, according to published price histories (checked October 2026). The franked price has risen alongside it, which is why the saving on a standard letter is now just a few pence.

Every time Royal Mail changes its tariffs, usually in April and sometimes in October too, the gap between stamp and franked prices can shift. It's worth rechecking the numbers each time. Our Royal Mail prices and stamp costs pages are updated when tariffs change.

Making the most of the discount

If you're franking already, a few changes can squeeze more value out of it:

• Check your formats. Make sure the machine is set to large letter when it should be. Charging a large letter at the letter rate gets it surcharged; charging a letter as a large letter wastes money.
• Review 1st vs 2nd Class. Moving non urgent large letters to 2nd Class saves far more than the franking discount. A 1st Class large letter under 100g is £2.86 franked; the 2nd Class equivalent is £1.52.
• Slim your packaging. Keeping items under 2.5cm thick keeps them in the large letter bands.

Other ways franking saves money

The headline discount isn't the only saving:

• Exact postage. The machine weighs each item, so you don't overpay with an extra stamp "just in case".
• No wasted stamps. Stamps get lost, damaged or used for personal post. Franking credit doesn't.
• Time. Fewer trips to the Post Office and less faff at the end of the day.
• Spend control. Most machines track postage by department, which helps you spot waste.

Discounts aren't the whole story

It's tempting to judge franking only on the per item discount, but remember the costs on the other side. A lease, ink and software all come off your saving. For a business sending mainly standard letters, a few pence per item rarely covers those. For a business sending lots of 1st Class large letters, the discount is large enough that the machine pays for itself and then some. Our is a franking machine worth it guide walks through the break even maths in detail.

FAQs

Is franked mail always cheaper than stamps?

On every standard and large letter service listed above, yes. The size of the saving varies a lot.

Do I pay VAT on franked postage?

Standard 1st and 2nd Class letters and large letters are VAT exempt. Some other services, such as certain business mail, are subject to VAT.

When do Royal Mail prices change?

Usually once a year in April, with some services changing in October too. Royal Mail changed some parcel and business prices on 5 October 2026.

Looking for a deal?

If the discount on your post mix makes franking worthwhile, compare a few suppliers. Compare franking machine prices.